Preparing Effective Cover Letter For Your Business Plan

The importance of a cover letter for a business plan cannot be over emphasised. For those that want to own a business more than they want to work for a business, knowing how to write a top-notch business plan cover letter may be one of the most important skills in their entrepreneurial career. Just like a resume is a required tool for job seekers, a business plan is a necessary document for anyone seeking investors, credit, partners, employees, publicity and regulatory approval for a new enterprise. Just like a resume, however, the business plan is not capable of standing on its own.

In the same way that a resume is too abstract, too impersonal and not inspiring, a business plan may lay out the facts of the prospective business to the reader but not inspire the sort of enthusiasm and excitement the entrepreneur wants. Also like the resume, the business plan lacks the most important element of all… MOTIVATION! For a resume cover letter, the motivation is to pick up the phone and give the applicant a call to schedule a job interview. For the business plan, that motivation might be to schedule a meeting, to approve a loan, to run a newspaper story, to visit a website, or any of a wide variety of actions. But the only way that the reader will know what to do, and receive the encouragement to do it is if the business plan cover letter energizes them, gives them directions and inspires them to follow through on those directions.

Step 1
Type your name, the name of your business and your contact information at the top of the cover letter so the bank can get back in touch with you easily. Include your business address, office number, cell number and the email address you check most frequently.

Related article: Preparing Effective Business Plan That Attracts Loan


Step 2
Type the recipient's name, title, bank name, location and address after your information. It's important to include the recipient's name. If you're not sure who will receive the cover letter and business plan, call the bank and ask.

Step 3
Type the date you plan to send the business plan cover letter under the recipient's information.

Step 4
Include a professional greeting addressed to the recipient, such as "Dear Ms. Smith."

Step 5
Explain in the first paragraph that you're sending the banker your business plan and that you hope the bank will consider providing you with a loan. Tell her that the business plan is attached and that you'd appreciate her consideration.

Step 6
In the next paragraph, describe reasons for opening your business. You should include details about your financial plan, such as how much money you already have to invest in your business and how much you plan to profit in the first year or two. Talking about your profits and careful financial planning shows the bank that your business is a worthwhile investment.

In the following paragraph, promote the product or service that is central to your business plan. Explain why it is worthy of attention without divulging proprietary details. Offer evidence that the business you plan to start will be a highly efficient operation with a strong likelihood of financial success. Avoid hyperbole, and stick to hard data. Let the reader draw his own conclusions. Remember that you are addressing a highly skeptical audience that receives numerous business plans.

Step 7
Thank the recipient for her time and consideration in the final paragraph. Let her know that you would appreciate it if she would review your business plan. Tell her you are available to come in and discuss your business plan further.

Step 8
End the letter with a professional closing, such as "Sincerely," and type your name three or four lines after the closing. Sign your name in the space between the closing and your typed name after you print out the cover letter.

Step 9
Review the letter with the utmost care and get a second opinion from someone you trust. Ask if it is too lengthy or if it meanders. Look for areas where you can provide additional information to strengthen your case. Make certain the cover letter is worthy of your business plan and conveys its importance.

Note:
To protect your idea, ask readers to sign a non-disclosure agreement before allowing them to read your cover letter and business plan, especially if your idea is to be patented.

If you need assistance in preparing a business plan for loan or cover letter, you can contact:
tochukwudike@gmail.com
customercare.dillionworld@gmail.com
Support@dillionworld.biz
Phone: +2348035217265; +2348138373847.